---
title: "What is Automatic renewal law? | Chargezen"
description: "A state law that sets rules for subscriptions and other offers that renew and charge customers automatically until they cancel."
url: "https://chargezen.com/glossary/automatic-renewal-law"
lang: "en"
---

Canonical URL: https://chargezen.com/glossary/automatic-renewal-law

# Automatic renewal law

Automatic renewal law (ARL)

Subscriptions

A state law that sets rules for subscriptions and other offers that renew and charge customers automatically until they cancel.

## What is Automatic renewal law?

Many US states have automatic renewal laws, and the details differ by state. California's is the best known and among the strictest. It was updated by a law that took effect on July 1, 2025. **What these laws commonly require:** - **Clear terms before purchase.** The price, how often it renews, that it continues until cancelled, and how to cancel, shown near the buy button. - **Express consent** to the renewing terms, separate from agreeing to other terms. - **A confirmation** after purchase that repeats the terms and explains how to cancel. - **Reminders** before a free trial turns into a paid plan, and in some states before annual renewals or price changes. - **Easy cancellation.** If a customer signed up online, they must be able to cancel online, without a phone call or a maze of offers. **California's 2025 update** added, among other things, a requirement to keep records of consent, limits on save offers during online cancellation, and notices before price changes and annual renewals. **These sit alongside federal rules,** including the Restore Online Shoppers' Confidence Act and the FTC's Negative Option Rule. **How Chargezen handles it:** Chargezen Subscriptions sends upcoming order reminders before each charge and lets subscribers cancel themselves in the customer portal, after seeing any save offers you choose. Whether your setup meets a given state's law is a question for your lawyer. This is general information, not legal advice. State laws change. Check the current text of each law that applies to you (checked October 17, 2026).

## Example

A California customer signs up for a $35 monthly box online. The brand shows the renewal terms at checkout, emails a confirmation with a cancel link, and lets the customer cancel from their account without calling.

## Why Automatic renewal law Matters

Breaking these laws can mean refunds, fines and lawsuits. Following them also builds the trust that keeps subscribers around.

## Explore More Terms

Browse our complete glossary of e-commerce and subscription terms.

[View Full Glossary](https://chargezen.com/glossary)